Many employers find it necessary to assess new employees’ performance on the job before making a final determination about whether an individual is suitable for a position. In the absence of an express term in an employment contract, employees in Canada are entitled to reasonable notice of termination at common law when they are dismissed without just cause. Many employers put terms in their employment contracts, such as probationary clauses, which limit this entitlement. However, employers may not always be clear on the implications of such clauses.

The recent decision by an Ontario Small Claims Court (Cao v. SBLR LLP) , even though only at the small claims court level and unlikely to set any legal precedent, is nevertheless a reminder to employers and employees alike that we often tend to assume things about the law which are not true, only to be surprised by the facts when an aggrieved employee decides to challenge an employer’s action.